VanEck Vietnam ETF (VNM US) – Portfolio Construction Methodology

The underlying MarketVector Vietnam Local Index provides free-float market-cap exposure to companies locally incorporated in Vietnam, subject to investability and liquidity screens. New additions require free float ≥10%, full market cap >USD 150m, and for each of the last two quarters a 3-month ADTV ≥USD 1.0m plus ≥0.25m shares/month; existing members must meet free float ≥5%, market cap >USD 75m, and at least two of the last three quarters with ADTV ≥USD 0.20m, with an additional check of either ADTV ≥USD 0.60m in one of the prior two quarters or ≥0.20m shares/month. Constituents are ranked by free-float market cap to target 90% coverage of the eligible universe with a minimum 25 names, using 85–98% buffers to limit turnover. Weights follow modified free-float market cap with tiered caps: top names stepped down from 8% to 4.5%. The index is reviewed and rebalanced quarterly (March, June, September, December).

To explore VNM in more depth, visit our ETF analytics platform for institutional-grade insights — including performance and risk metrics, correlations, sensitivities, and factor exposure: https://www.etfstrategy.com/etf/VNM_US